American History Unit 23: Roaring 20s and the Great Depression

American History Unit 23: Roaring 20s and the Great Depression

Prohibition I. Prohibition A. In 1919, the United States adopted the 18th Amendment. 1. Prohibited the manufacturing or selling of alcoholic beverages. 2. Influenced the rise of crime in American society during the 1920's. 1a. Gangsters, bootleggers, hookers, and underground casinos. Government agents destroy kegs of alcohol. Prohibition created an enormous public demand for illegal alcohol Bootleggers: People who made, sold, or distributed alcohol illegally. Many people died or got violently ill from buying and drinking illegal alcohol.

Reasons Why Prohibition was Introduced II. Reasons why Prohibition was introduced: A. National mood 1. When America entered the war in 1917 the national mood also turned against drinking alcohol. B. Practical 1. A ban on alcohol would boost supplies of important grains such as barley. C. Religious 1. The consumption of alcohol went against God's will. a. The Anti-Saloon League argued that drinking alcohol was damaging American society. D. Moral 1. Many agreed that it was wrong for some Americans to enjoy alcohol while the country's young men were at war.

Reasons Why Prohibition had Failed: III. Reasons Why Prohibition had Failed: A. There weren't enough Prohibition agents to enforce the law. 1. The size of America's boundaries made it hard for these agents to control smuggling by bootleggers. 2. The low salary paid to the agents made it easy to bribe them. B. Many Americans never gave their support to Prohibition and continued to purchase and consume alcohol. C. Protection rackets, organized crime and gangland murders were more common during Prohibition than when alcohol could be bought legally. 1. Gangsters such as Al Capone made money from organized crime. Al Capone The most infamous incident was the St Valentine's Day Massacre in 1929 when Capone's men killed seven members of his rival Moran's gang while Capone lay innocently on a beach in Florida.

The Red Scare I. The fear of Communism. A. The Red Scare 1. The Soviet government announced the formation of the (COMINTERN) Communist International, whose purpose was to export revolution around the world. B. Palmer Raids 1. People were arrested who were suspected of being communists.

I. The 19th Amendment (1920) A. Gave women the right to vote. Women Suffrage President Harding was the first U.S. president elected after woman were allowed to vote.

20 s Attire

"Roaring Twenties Era of American Good Times Reasons for the Roaring Twenties. 1. Isolationism A. The republican government under President Harding (1921-1923) and President Coolidge (1923-9) kept out of foreign affairs, and limited foreign competition by imposing high import tariffs. 2. Technology A. U.S. advancement in the electrical, chemicals and film industries. 3. Mass production A. Consumer goods, especially in the automobile industry. 4. Hire purchase A Allowed people to purchase new gadgets such as vacuum cleaners, washing machines, and refrigerators. B.Borrowing increased the amount of money available to spend. 5. Shares A. Firms learned to raise money by selling shares on the Stock Exchange.

"The Roaring Twenties Era of American Good Times Flappers: A popular style of dress attire for women in the 1920 s. The 1920 s: Called the Roaring 20 s because people had money to spend and the economy looked good. People were enjoying themselves despite a ban on alcohol.

Distribution of Wealth in the 20 s

The Harding Administration I. Election of 1920 A. James M. Cox (Democrat) vs. Warren G. Harding (Republican) 1. Warren G. Harding won. a. The Ohio Gang 1a. Name given to President Harding's Cabinet because all the members were from Ohio. Warren G. Harding was the first U.S. President elected after women were given the right to vote. Millions of women voted for him because many thought he looked like a President. The Ohio Gang

Scandals Scarred Harding s Administration B. President Harding's Presidency was ruined because of scandals. 1. Teapot Dome Scandal. 1a. Secretary of the Interior, Albert Fall leased out government oil reserves to independent oil companies in exchange for money. 1aa. Albert Fall was found guilty and sent to prison. C. President Harding died of a heart attack while vacationing in California. 1. The scandals and the national press were too much for him. D. Vice-President Calvin Coolidge assumed the Presidency. 1. Sworn in by his father, a notary republic. Secretary of the Interior, Albert Fall leased out government oil reserves to independent oil companies in exchange for bribes and kickbacks.

Calvin Silent Cal Coolidge s Administration I. Election of 1924. A. President Calvin Coolidge won reelection. 1. Known as "Silent Cal, because he never talked. 2. "The business of America is business." 1a. Coolidge s government policy was that People deserved what they got... loss of jobs etc. President Calvin Coolidge was nicknamed Silent Cal because he rarely talked. He was known to take frequent naps and used to dress up like a cowboy while he rode a mechanical horse in the Oval Office. After receiving word that Harding had died, Calvin Coolidge was sworn in as President by his father, a notary public.

Herbert Hoover I. Election of 1928 A. Herbert Hoover (Republican) vs. Albert Smith (Democrat) 1. Herbert Hoover won. B. The Great Depression arrived shortly after he became President. 1. The first signs of the Great Depression began during Coolidge s presidency. 2. President Hoover s lack of decisive action to solve the economic problems caused people to blame him. *The residing President usually gets blamed for troubles. In 1928, the new Republican president, Herbert Hoover confidently stated, "We in America today are nearer to the final triumph over poverty than ever before in the history of any land". He also promised the American people a chicken in every pot and a car in every garage. He was blamed for allowing the Great Depression to occur because he refused to take government action to prevent it.

The Great Depression 1929-1936

The Great Depression I. Great Depression of 1929-1936 A. Causes of the Great Depression 1. Over production a. Industries expanded too rapidly and were producing more goods than they could sell. 2. Under consumption a. Consumers were unable to purchase the products from factories. 1a. American farmers couldn't afford to purchase new farm equipment because of the lack of demand for their farm goods and prices. b. European countries had to pay for World War One debts. 1b. Germany had to pay reparations and her economy was in disorder. 3. Unsound financial practices a. Banks loaned money to anybody. 1a. Often, the banks were never repaid. 1aa. Many banks went out of business and people lost their savings. 4. Stock Market Crash (Oct. 1929) a. People lost faith in the economy and wanted to sell their stocks.

Stock Market: Before and After Black Tuesday

Economic Conditions During the Great Depression I. One-fourth of the national workforce lost their jobs by 1933. A. Many farmers lost their land. 1. Farmers refused to harvest crops because prices were so low. 2. Farmers were hurt the most. Scenes from the Great Depression in America.

Economic Conditions During the Great Depression 1. Unemployment- 13 million people were out of work. 2. Industrial production dropped by 45 per cent between 1929 and 1932. 3. House building fell by 80 per cent between 1929 and 1932. 4. The entire American banking system reached the brink of collapse. 5. From 1929 to 1932, 5,000 banks went out of business. Although many people went hungry, the number of recorded deaths from starvation during the Depression was 110, although many other illnesses and deaths were probably related to a lack of nutrition.

A Hooverville, 1930 Many people lived in primitive conditions close to famine. One New York family moved into a cave in Central Park. In St Louis, more than 1,000 people lived in shacks made from scrap metal and boxes. There were many similar Hoovervilles all over America. Between 1 and 2 million people traveled the country desperately looking for work.

The Election of Franklin D. Roosevelt I. Election of 1932 A. President Hoover (Rep/ Incumbent vs. Franklin D. Roosevelt (Democrat) 1. Franklin D. Roosevelt won the election. B. Congress passed the 21st Amendment. 1. Repelled the 18th Amendment. a. Prohibition was ended. 1a. Alcohol was legal again in the United States!!! Franklin D. Roosevelt: Offered hope and a way out of the depression. Franklin D. Roosevelt served 13 years, the longest time for any U.S. President. After his death, Congress passed an amendment limiting the time in office of a U.S. President to no more than two full terms.

Key Quotes: FDR s Inauguration Speech This Nation asks for action, and action now. Our greatest primary task is to put people to work. I shall ask congress for broad executive power to wage was against the emergency.

President Franklin D. Roosevelt and the New Deal I. Goals of the New Deal A. Relief- provide relief for those Americans in need of financial assistance. B. Recovery- Spur the economy to promote recovery. C. Reform- Prevent future depressions. II. Banking laws A. Bank Holiday- government temporarily closed all banks to prevent people from withdrawing their money. B. Federal Deposit Insurance Corporation (FDIC) 1. Insured each American s deposits up to $2,500. a. Presently, it insures up to $100,000. 2. Government increased the amount of currency (money) in circulation. 3. Eliminated the gold standard. III. Social Security Act of 1935 1. This act required working people to make a small monthly payment into a government retirement plan. a. This act made millions of Americans feel more secure about their future.

New Deal Programs (Alphabet Soup)

Criticisms of the New Deal. I. Disliked by many businessmen and people with money. A. Government raised money to pay for the New Deal through taxes. 1. People with the highest income had to pay the highest taxes. B. Many feared that the government was becoming too powerful. C. Critics claimed it was destroying the American way of life. D. Thought it resembled communism too much. II. Signs the U.S. economy was recovering from the Great Depression. A. By 1936, industrial production was up and unemployment was down. The outbreak of the Second World War finally ended the Great Depression.

New Deal Cartoon

Terms to Know Prohibition 18th Amendment Al Capone Red Scare COMINTERN Palmer Raids 19th Amendment Roaring Twenties Flappers Warren G. Harding Ohio Gang Teapot Dome Scandal Albert Fall Calvin Coolidge "Silent Cal Herbert Hoover Great Depression Hoovervilles Franklin D. Roosevelt 21st Amendment New Deal Federal Deposit Insurance Corporation Social Security Act of 1935

Concepts to Know What was Prohibition, why it was formed, and why it failed? Describe the "Red Scare." Explain the women's' suffrage movement. Why was the early 1920's called, "The Roaring Twenties?" Describe the Harding administration and its scandals. Describe the presidency of Calvin Coolidge. Describe the presidency of Herbert Hoover. What were the causes of the Great Depression? Describe why Franklin D. Roosevelt easily won the Election of 1932. Explain the "New Deal," its many programs, and why some business people disliked it.